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Team Dynamo
Final Presentation
Interviews: 252
Partner: 10
Survey: 76
Al Hassan HleilehMBA 2
MA in POL ECON SOC H
Elika MahdaviMS&E MS
BS in Indus.Eng.
Megh GautamMS&E MS
BTech in IT
Hung LeMS&E MS
BS in EE/CS
PICTURE
PICTURE PICTURE
PICTURE
THE TEAM
TABLE OF CONTENTS
1. Overview of our idea evolution
2. Our journey from week 1 to week 8
3. Current Idea
Archetype
Product vision
Partner
Channel & Demand Creation
Competitive Landscape
Market Sizing
4. Lesson learned and what next
Travel booking portal for Middle Easterns
Social travel planning
Ex-pat travel portal to Middle East
Travel inspiration - Social platform that nudges people to inspire and enrich their life
21 3 5 6
Safe travel portal for US travelers to M.E.
4
IDEA EVOLUTION THROUGH PIVOT
7 8
Nudge to enrich life
FocusCustomer Insights
Competition Market sizeCustomer Insights
Market size
Research
ScalabilityMarket size
Travel booking portal for Middle Easterns
1
Interviews: 20
Market understandingBest in class productRelationship with partnersHuman Capital
HotelsAirlinesEvents (Festivals)Car rentalsPromotion companiesDeal listingsState TourismTravel agentsConventions (CES)Business Schools (Study groups)
Product DevelopmentA/B testingRelationship with hotels; airlines; car rentalsSourcing dealsAcquisition, retain customers
Web and mailAdvertisingSocial MediaWord of MouthReferralsCustomer call centersMagazines
Lowest priceBest inventoryConvenientExperiential UISocial ValidationCreate a CommunityMultiple optionsBest Actionable dealsRelevant locations
Trusted relationships Successful partnershipsBrand awareness/ identificationPilotsCross pollinationEvents (Parties!)
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent origins Social media savvy
Young couples Trendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costsPercentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
WEEK 1 – MAKE MY DREAM NewRemain
RemoveWe
ek
1
Middle East focused platform
Offer a booking platform with group discounts and flash-sales
Ramp up strategy through social conversations
Preserve memories of travel through photo sharing and quotes
Middle East focused Travel booking portal
Market understandingBest in class productRelationship with partnersHuman Capital
HotelsAirlinesEvents (Festivals)Car rentalsPromotion companiesDeal listingsState TourismTravel agentsConventions (CES)Business Schools (Study groups)
Product DevelopmentA/B testingRelationship with hotels; airlines; car rentalsSourcing dealsAcquisition, retain customers
Web and mailAdvertisingSocial MediaWord of MouthReferralsCustomer call centersMagazines
Lowest priceBest inventoryConvenientExperiential UISocial ValidationCreate a CommunityMultiple optionsBest Actionable dealsRelevant locations
Trusted relationships Successful partnershipsBrand awareness/ identificationPilotsCross pollinationEvents (Parties!)
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent origins Social media savvy
Young couples Trendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costsPercentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
WEEK 1 – MAKE MY DREAM NewRemain
RemoveWe
ek
1
Market understandingBest in class productRelationship with partnersHuman Capital
HotelsAirlinesEvents (Festivals)Car rentalsPromotion companiesDeal listingsState TourismTravel agentsConventions (CES)Business Schools (Study groups)
Product DevelopmentA/B testingRelationship with hotels; airlines; car rentalsSourcing dealsAcquisition, retain customers
Web and mailAdvertisingSocial MediaWord of MouthReferralsCustomer call centersMagazines
Lowest priceBest inventoryConvenientExperiential UISocial ValidationCreate a CommunityMultiple optionsBest Actionable dealsRelevant locations
Trusted relationships Successful partnershipsBrand awareness/ identificationPilotsCross pollinationEvents (Parties!)
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent origins Social media savvy
Young couples Trendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costsPercentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
WEEK 1 – MAKE MY DREAM NewRemain
RemoveWe
ek
1
Too broad a platform
Too many value propositions
Lack of focus in value propositions
Market understandingBest in class productRelationship with partnersHuman Capital
HotelsAirlinesEvents (Festivals)Car rentalsPromotion companiesDeal listingsState TourismTravel agentsConventions (CES)Business Schools (Study groups)
Product DevelopmentA/B testingRelationship with hotels; airlines; car rentalsSourcing dealsAcquisition, retain customers
Web and mailAdvertisingSocial MediaWord of MouthReferralsCustomer call centersMagazines
Lowest priceBest inventoryConvenientExperiential UISocial ValidationCreate a CommunityMultiple optionsBest Actionable dealsRelevant locations
Trusted relationships Successful partnershipsBrand awareness/ identificationPilotsCross pollinationEvents (Parties!)
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent origins Social media savvy
Young couples Trendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costsPercentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
WEEK 1 – MAKE MY DREAM NewRemain
RemoveWe
ek
1
The method we used was a top-down approach
We didn’t use net numbers (gross)
The lesson here is that if we were to do it again we would use bottom up / net figures
Market sizing problem
Market understandingBest in class productRelationship with partnersHuman Capital
HotelsAirlinesEvents (Festivals)Car rentalsPromotion companiesDeal listingsState TourismTravel agentsConventions (CES)Business Schools (Study groups)
Product DevelopmentA/B testingRelationship with hotels; airlines; car rentalsSourcing dealsAcquisition, retain customers
Web and mailAdvertisingSocial MediaWord of MouthReferralsCustomer call centersMagazines
Lowest priceBest inventoryConvenientExperiential UISocial ValidationCreate a CommunityMultiple optionsBest Actionable dealsRelevant locations
Trusted relationships Successful partnershipsBrand awareness/ identificationPilotsCross pollinationEvents (Parties!)
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent origins Social media savvy
Young couples Trendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costsPercentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
WEEK 1 – MAKE MY DREAM NewRemain
RemoveWe
ek
1
We were not focused on a specific customer segment – too broad.
Our interview base was biased towards our network – needed a better sample.
Lack of focus in customer segments
Market understandingBest in class productRelationship with partnersHuman Capital
HotelsAirlinesEvents (Festivals)Car rentalsPromotion companiesDeal listingsState TourismTravel agentsConventions (CES)Business Schools (Study groups)
Product DevelopmentA/B testingRelationship with hotels; airlines; car rentalsSourcing dealsAcquisition, retain customers
Web and mailAdvertisingSocial MediaWord of MouthReferralsCustomer call centersMagazines
Lowest priceBest inventoryConvenientExperiential UISocial ValidationCreate a CommunityMultiple optionsBest Actionable dealsRelevant locations
Trusted relationships Successful partnershipsBrand awareness/ identificationPilotsCross pollinationEvents (Parties!)
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent origins Social media savvy
Young couples Trendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costsPercentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
WEEK 1 – MAKE MY DREAM NewRemain
RemoveWe
ek
1
Focus is crucial – be it in your value proposition or in your customer segmentation
Market sizing – Use bottom up whenever possible
Get out of the building – in spirit and in action. Avoid bias
Key learning
Travel booking portal for Middle Easterns
Social travel planning
1
Customer focus
2
Interviews: 20
Market understandingHuman CapitalRelationship with partners
Best in class product
Social NetworksTravel Publications
HotelsBusiness SchoolsTravel agentsAirlinesEventsDeal listings
Car rentalsPromotion companiesState TourismConventions (CES)
Customer Acquisition Customer RetentionProduct DevRelationship with key partnersSourcing deals
Word of MouthSocial Media
Web and mailAdvertisingReferralsCustomer call centersMagazines
Easy and pleasurable trip planningBest inventory
ConvenientExperiential UILowest priceMultiple optionsBest Actionable dealsRelevant locationsCreate a CommunitySocial Validation
Trusted relationships Successful partnershipsEvents (Parties!)
Brand awareness/ identificationPilotsCross pollination
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent originsSocial media savvy
Young couplesTrendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
Percentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
WEEK 2 – SOCIAL TRIP PLANNING NewRemain
RemoveWe
ek
2
Through our mentors, we really dug into our customers insights
They were telling us that they didn’t just want to go to the middle east
They wanted a seamless, social and enjoyable travel experience from A-Z
We pivoted to The Middle Easts travel booking portal with a ramp up focused on influential who want easy and pleasurable trip planning
Pivot to social travel planning for group traveling
Market understandingHuman CapitalRelationship with partners
Best in class product
Social NetworksTravel Publications
HotelsBusiness SchoolsTravel agentsAirlinesEventsDeal listings
Car rentalsPromotion companiesState TourismConventions (CES)
Customer Acquisition Customer RetentionProduct DevRelationship with key partnersSourcing deals
Word of MouthSocial Media
Web and mailAdvertisingReferralsCustomer call centersMagazines
Easy and pleasurable trip planningBest inventory
ConvenientExperiential UILowest priceMultiple optionsBest Actionable dealsRelevant locationsCreate a CommunitySocial Validation
Trusted relationships Successful partnershipsEvents (Parties!)
Brand awareness/ identificationPilotsCross pollination
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent originsSocial media savvy
Young couplesTrendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
Percentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
NewRemain
RemoveWe
ek
2 WEEK 2 – SOCIAL TRIP PLANNING
Market understandingHuman CapitalRelationship with partners
Best in class product
Social NetworksTravel Publications
HotelsBusiness SchoolsTravel agentsAirlinesEventsDeal listings
Car rentalsPromotion companiesState TourismConventions (CES)
Customer Acquisition Customer RetentionProduct DevRelationship with key partnersSourcing deals
Word of MouthSocial Media
Web and mailAdvertisingReferralsCustomer call centersMagazines
Easy and pleasurable trip planningBest inventory
ConvenientExperiential UILowest priceMultiple optionsBest Actionable dealsRelevant locationsCreate a CommunitySocial Validation
Trusted relationships Successful partnershipsEvents (Parties!)
Brand awareness/ identificationPilotsCross pollination
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent originsSocial media savvy
Young couplesTrendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
Percentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
WEEK 2 – SOCIAL TRIP PLANNING NewRemain
RemoveWe
ek
2
Market understandingHuman CapitalRelationship with partners
Best in class product
Social NetworksTravel Publications
HotelsBusiness SchoolsTravel agentsAirlinesEventsDeal listings
Car rentalsPromotion companiesState TourismConventions (CES)
Customer Acquisition Customer RetentionProduct DevRelationship with key partnersSourcing deals
Word of MouthSocial Media
Web and mailAdvertisingReferralsCustomer call centersMagazines
Easy and pleasurable trip planningBest inventory
ConvenientExperiential UILowest priceMultiple optionsBest Actionable dealsRelevant locationsCreate a CommunitySocial Validation
Trusted relationships Successful partnershipsEvents (Parties!)
Brand awareness/ identificationPilotsCross pollination
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent originsSocial media savvy
Young couplesTrendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
Percentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
WEEK 2 – SOCIAL TRIP PLANNING NewRemain
RemoveWe
ek
2
When research for potential partners, we learned of several existing competitors with similar product
crowded
hypercompetitive
What was the problem?
Market understandingHuman CapitalRelationship with partners
Best in class product
Social NetworksTravel Publications
HotelsBusiness SchoolsTravel agentsAirlinesEventsDeal listings
Car rentalsPromotion companiesState TourismConventions (CES)
Customer Acquisition Customer RetentionProduct DevRelationship with key partnersSourcing deals
Word of MouthSocial Media
Web and mailAdvertisingReferralsCustomer call centersMagazines
Easy and pleasurable trip planningBest inventory
ConvenientExperiential UILowest priceMultiple optionsBest Actionable dealsRelevant locationsCreate a CommunitySocial Validation
Trusted relationships Successful partnershipsEvents (Parties!)
Brand awareness/ identificationPilotsCross pollination
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent originsSocial media savvy
Young couplesTrendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
Percentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
WEEK 2 – SOCIAL TRIP PLANNING NewRemain
RemoveWe
ek
2
We should have looked at the competitive landscape earlier
We should have spoken to industry / domain experts earlier
Key learning
Social travel planning
Ex-pat travel portal to Middle East
2 3
Competition
Travel booking portal for Middle Easterns
1
Interviews: 64
Market understandingHuman CapitalRelationship with partners
Social NetworksHotelsBusiness SchoolsTravel agents
Travel PublicationsAirlinesEventsDeal listings
Customer Acquisition Customer RetentionProduct DevRelationship with key partnersSourcing deals
Word of MouthSocial Media
Local knowhow and content
Easy and pleasurable trip planningBest inventory
Trusted relationships Successful partnerships
Events (Parties!)
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent originsSocial media savvy
Young couplesTrendsetting behavior
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
WEEK 3 – EX-PAT TRAVELING NewRemain
RemoveWe
ek
3
Pivot to Ex-pat Community Travel Portal
We pivoted back to the original idea with focus on one customer segment
A travel planner for Ex-Pat students who frequently visit the Middle-East & other major cities.
We want to capture & publish their travel experience.
Market understandingHuman CapitalRelationship with partners
Social NetworksHotelsBusiness SchoolsTravel agents
Travel PublicationsAirlinesEventsDeal listings
Customer Acquisition Customer RetentionProduct DevRelationship with key partnersSourcing deals
Word of MouthSocial Media
Local knowhow and content
Easy and pleasurable trip planningBest inventory
Trusted relationships Successful partnerships
Events (Parties!)
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent originsSocial media savvy
Young couplesTrendsetting behavior
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
WEEK 3 – EX-PAT TRAVELING NewRemain
RemoveWe
ek
3
Market understandingHuman CapitalRelationship with partners
Social NetworksHotelsBusiness SchoolsTravel agents
Travel PublicationsAirlinesEventsDeal listings
Customer Acquisition Customer RetentionProduct DevRelationship with key partnersSourcing deals
Word of MouthSocial Media
Local knowhow and content
Easy and pleasurable trip planningBest inventory
Trusted relationships Successful partnerships
Events (Parties!)
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent originsSocial media savvy
Young couplesTrendsetting behavior
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
WEEK 3 – EX-PAT TRAVELING NewRemain
RemoveWe
ek
3
We interviewed 64 people and found:
The market was too small
There is little homogeneity in customer needs
Too low frequency of travel to justify target market
What was the problem?
Market understandingHuman CapitalRelationship with partners
Social NetworksHotelsBusiness SchoolsTravel agents
Travel PublicationsAirlinesEventsDeal listings
Customer Acquisition Customer RetentionProduct DevRelationship with key partnersSourcing deals
Word of MouthSocial Media
Local knowhow and content
Easy and pleasurable trip planningBest inventory
Trusted relationships Successful partnerships
Events (Parties!)
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent originsSocial media savvy
Young couplesTrendsetting behavior
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
WEEK 3 – EX-PAT TRAVELING NewRemain
RemoveWe
ek
3
Market sizing is crucial
Key learning
Ex-pat travel portal to Middle East
3
Safe travel portal for US travelers to M.E.
4
Market size
Social travel planning
2
Travel booking portal for Middle Easterns
1
Interviews: 33
Survey: 46
Market understandingHuman CapitalRelationship with partners
Social NetworksAlumni AssociationsHotelsBusiness SchoolsTravel agents
Travel PublicationsAirlinesEventsDeal listings
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partnersSourcing deals
Word of MouthSocial Media
Safety propositionLocal knowhow and contentCommunity/Group Travel
Easy and pleasurable trip planningBest inventory
Trusted relationships Successful partnerships
Young and the affluentHigh disposable incomesWilling to explore
-MBA Students
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
WEEK 4 – US TRAVEL TO Middle East NewRemain
RemoveWe
ek
4
Pivot to US Traveler Portal to Middle East
We expanded our market to entire US travel market
Platform to facilitate Americans to travel to the Middle-East
Market understandingHuman CapitalRelationship with partners
Social NetworksAlumni AssociationsHotelsBusiness SchoolsTravel agents
Travel PublicationsAirlinesEventsDeal listings
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partnersSourcing deals
Word of MouthSocial Media
Safety propositionLocal knowhow and contentCommunity/Group Travel
Easy and pleasurable trip planningBest inventory
Trusted relationships Successful partnerships
MBA Students
Young and the affluentHigh disposable incomesWilling to explore
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
WEEK 4 – US TRAVEL TO Middle East NewRemain
RemoveWe
ek
4
We surveyed 46 people and interview 33 more
Young & Affluent Americans traveling to the Middle East need local insight.
We’ll be the trusted source!
Young affluent market
Market understandingHuman CapitalRelationship with partners
Social NetworksAlumni AssociationsHotelsBusiness SchoolsTravel agents
Travel PublicationsAirlinesEventsDeal listings
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partnersSourcing deals
Word of MouthSocial Media
Safety propositionLocal knowhow and contentCommunity/Group Travel
Easy and pleasurable trip planningBest inventory
Trusted relationships Successful partnerships
Young and the affluentHigh disposable incomesWilling to explore
-MBA Students
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
WEEK 4 – US TRAVEL TO Middle East NewRemain
RemoveWe
ek
4
Market understandingHuman CapitalRelationship with partners
Social NetworksAlumni AssociationsHotelsBusiness SchoolsTravel agents
Travel PublicationsAirlinesEventsDeal listings
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partnersSourcing deals
Word of MouthSocial Media
Safety propositionLocal knowhow and contentCommunity/Group Travel
Easy and pleasurable trip planningBest inventory
Trusted relationships Successful partnerships
MBA Students
Young and the affluentHigh disposable incomesWilling to explore
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
WEEK 4 – US TRAVEL TO Middle East NewRemain
RemoveWe
ek
4
Launched website with full basic booking functionalities
Ebtism.com went live
Full basic functionalities (login, browse deals and book trips)
4 sourced deals from agencies
42 GSB students booked
Exclusive loginDeals selection (real sourcing)
Value proposition Ability to book trips
Market understandingHuman CapitalRelationship with partners
Social NetworksAlumni AssociationsHotelsBusiness SchoolsTravel agents
Travel PublicationsAirlinesEventsDeal listings
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partnersSourcing deals
Word of MouthSocial Media
Safety propositionLocal knowhow and contentCommunity/Group Travel
Easy and pleasurable trip planningBest inventory
Trusted relationships Successful partnerships
MBA Students
Young and the affluentHigh disposable incomesWilling to explore
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
WEEK 4 – US TRAVEL TO Middle East NewRemain
RemoveWe
ek
4
We spoke to Christos Stergiou, founder of truegreece.com (Greece Analogue)
10 years of development
$5M idea
What was the problem?
Market understandingHuman CapitalRelationship with partners
Social NetworksAlumni AssociationsHotelsBusiness SchoolsTravel agents
Travel PublicationsAirlinesEventsDeal listings
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partnersSourcing deals
Word of MouthSocial Media
Safety propositionLocal knowhow and contentCommunity/Group Travel
Easy and pleasurable trip planningBest inventory
Trusted relationships Successful partnerships
MBA Students
Young and the affluentHigh disposable incomesWilling to explore
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
WEEK 4 – US TRAVEL TO Middle East NewRemain
RemoveWe
ek
4
Market size need to be VENTURE SCALE
We want to DISRUPT the Travel Space.
Let’s Re-think the Entire Idea!
Key learning
Ex-pat travel portal to Middle East
3
Safe travel portal for US travelers to M.E.
4
Social travel planning
2
Travel booking portal for Middle Easterns
1
Social platform that nudges people to travel
5
Market size
Interviews: 17
Survey: 10
User dataHuman CapitalRelationship with partners
Social NetworksTravel Websites
Alumni AssociationsTravel agentsBusiness SchoolsHotels
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Sourcing deals
Word of MouthSocial Media
Enrichment (Travel)Leads
Safety propositionLocal knowhow and contentCommunity/Group Travel
Trusted relationshipsSuccessful partnerships
Online travelersTravel Websites
MBA Students
Young and the affluentHigh disposable incomesWilling to explore
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Refunds
LeadsAdvertising
Percentage of booking costs
WEEK 5 – TRAVEL NUDGE Paying partner sideEnd-user side
RemoveWe
ek
5
Pivot to travel inspiration
We pivot to a brand new market
Inspire people to travel more through recommendation
Relevant based on social graph and travel history
User dataHuman CapitalRelationship with partners
Social NetworksTravel Websites
Alumni AssociationsTravel agentsBusiness SchoolsHotels
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Sourcing deals
Word of MouthSocial Media
Enrichment (Travel)Leads
Safety propositionLocal knowhow and contentCommunity/Group Travel
Trusted relationshipsSuccessful partnerships
Online travelersTravel Websites
MBA Students
Young and the affluentHigh disposable incomesWilling to explore
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Refunds
LeadsAdvertising
Percentage of booking costs
WEEK 5 – TRAVEL NUDGE Paying partner sideEnd-user side
RemoveWe
ek
5
Inception of Nudge by looking at the competitive landscape
Revisedlater
User dataHuman CapitalRelationship with partners
Social NetworksTravel Websites
Alumni AssociationsTravel agentsBusiness SchoolsHotels
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Sourcing deals
Word of MouthSocial Media
Enrichment (Travel)Leads
Safety propositionLocal knowhow and contentCommunity/Group Travel
Trusted relationshipsSuccessful partnerships
Online travelersTravel Websites
MBA Students
Young and the affluentHigh disposable incomesWilling to explore
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Refunds
LeadsAdvertising
Percentage of booking costs
Paying partner sideEnd-user side
RemoveWe
ek
5 WEEK 5 – TRAVEL NUDGE
User dataHuman CapitalRelationship with partners
Social NetworksTravel Websites
Alumni AssociationsTravel agentsBusiness SchoolsHotels
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Sourcing deals
Word of MouthSocial Media
Enrichment (Travel)Leads
Safety propositionLocal knowhow and contentCommunity/Group Travel
Trusted relationshipsSuccessful partnerships
Online travelersTravel Websites
MBA Students
Young and the affluentHigh disposable incomesWilling to explore
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Refunds
LeadsAdvertising
Percentage of booking costs
Paying partner sideEnd-user side
RemoveWe
ek
5
Bottom-up estimation
Market = population x nudge frequency x CTR x CPC
With leads revenue sharing model, TAM is based on assumptions of nudges frequency and conversion
Target market is justifiable with an annual revenue of $267 million with 31% market penetration
Sizeable potential market
SOM = $267M
SAM = $373M
TAM = $900M
WEEK 5 – TRAVEL NUDGE
User dataHuman CapitalRelationship with partners
Social NetworksTravel Websites
Alumni AssociationsTravel agentsBusiness SchoolsHotels
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Sourcing deals
Word of MouthSocial Media
Enrichment (Travel)Leads
Safety propositionLocal knowhow and contentCommunity/Group Travel
Trusted relationshipsSuccessful partnerships
Online travelersTravel Websites
MBA Students
Young and the affluentHigh disposable incomesWilling to explore
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Refunds
LeadsAdvertising
Percentage of booking costs
Paying partner sideEnd-user side
RemoveWe
ek
5
Mock up of the product for customer interview
WEEK 5 – TRAVEL NUDGE
Ex-pat travel portal to Middle East
3
Safe travel portal for US travelers to M.E.
4
Social travel planning
2
Travel booking portal for Middle Easterns
1
Travel inspiration - Social platform that nudges people to inspire and enrich their life
5 6
Interviews: 52 + 3 partners
User dataHuman CapitalRelationship with partners
Social NetworksTravel Websites
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Word of MouthSocial Media
Enrichment (Travel)Customer Acquisition
Leads
Trusted relationshipsSuccessful partnerships
Online travelersTravel Websites
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Cost per acquisition
LeadsAdvertising
WEEK 6 – TRAVEL NUDGE Paying partner sideEnd-user side
RemoveWe
ek
6
User dataHuman CapitalRelationship with partners
Social NetworksTravel Websites
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Word of MouthSocial Media
Enrichment (Travel)Customer Acquisition
Leads
Trusted relationshipsSuccessful partnerships
Online travelersTravel Websites
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Cost per acquisition
LeadsAdvertising
Paying partner sideEnd-user side
RemoveWe
ek
6
Partner
Reach out to Travelocity (Jim Hornthal)
Customer insights differed
Technological challenges (e.g. cookies)
Revenue share instead of lead generating
Reach out to Expedia and Bookingmarkets
Confirm revenue share model (5% - 10%) and we even got a standard term
WEEK 6 – TRAVEL NUDGE
User dataHuman CapitalRelationship with partners
Social NetworksTravel Websites
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Word of MouthSocial Media
Enrichment (Travel)Customer Acquisition
Leads
Trusted relationshipsSuccessful partnerships
Online travelersTravel Websites
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Cost per acquisition
LeadsAdvertising
Paying partner sideEnd-user side
RemoveWe
ek
6
Then we went out of the building to interview 50 people at Stanford Mall
What prevents people from traveling is time, not imagination or laziness (seasonal)
People don’t want to be nudged too often (1 per month)
Referrals from close friends more valuable than referrals from strangers
The customers value relevance of nudges
WEEK 6 – TRAVEL NUDGE
Ex-pat travel portal to Middle East
3
Safe travel portal for US travelers to M.E.
4
Social travel planning
2
Travel booking portal for Middle Easterns
1
Travel inspiration - Social platform that nudges people to inspire and enrich their life
5 6 7
Nudge to enrich
life
Market size
Interviews: 16
User dataHuman CapitalRelationship with partners
Social NetworksTravel WebsitesEvent WebsitesUniversity EventsMerchants
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Word of MouthSocial Media
Enrichment (Activities + Travel)Customer Acquisition
Enrichment (Travel)
Trusted relationshipsSuccessful partnerships
StudentsGraduatesYoung Families
Travel Websites
Online travelers
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Cost per acquisition
WEEK 7 - NUDGEW
ee
k 7
Expand from travel to include activity nudges
We expanded our nudges to include activities, events, social reminders than just travels
Keep user more engaged with relevant frequent nudges
User dataHuman CapitalRelationship with partners
Social NetworksTravel WebsitesEvent WebsitesUniversity EventsMerchants
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Word of MouthSocial Media
Enrichment (Activities + Travel)Customer Acquisition
Enrichment (Travel)
Trusted relationshipsSuccessful partnerships
StudentsGraduatesYoung Families
Travel Websites
Online travelers
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Cost per acquisition
WEEK 7 - NUDGEW
ee
k 7
User dataHuman CapitalRelationship with partners
Social NetworksTravel WebsitesEvent WebsitesUniversity EventsMerchants
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Word of MouthSocial Media
Enrichment (Activities + Travel)Customer Acquisition
Enrichment (Travel)
Trusted relationshipsSuccessful partnerships
StudentsGraduatesYoung Families
Travel Websites
Online travelers
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Cost per acquisition
WEEK 7 - NUDGEW
ee
k 7
We went out of the building to interview 20 people
People also want to be nudged in other things than just travel
Mobile is the most effective medium to increase engagement
The customers want diverse nudges
User dataHuman CapitalRelationship with partners
Social NetworksTravel WebsitesEvent WebsitesUniversity EventsMerchants
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Word of MouthSocial Media
Enrichment (Activities + Travel)Customer Acquisition
Enrichment (Travel)
Trusted relationshipsSuccessful partnerships
StudentsGraduatesYoung Families
Travel Websites
Online travelers
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Cost per acquisition
WEEK 7 - NUDGEW
ee
k 7
Ex-pat travel portal to Middle East
3
Safe travel portal for US travelers to M.E.
4
Social travel planning
2
Travel booking portal for Middle Easterns
1
Travel inspiration - Social platform that nudges people to inspire and enrich their life
5 6 7 8
Nudge to enrich life
Interviews: 15
Partners: 7
Pilot nudges: 20
YOUTUBE VIDEO
User dataHuman CapitalRelationship with partners
Social NetworksTravel Websites
Alumni AssociationsTravel agentsBusiness SchoolsHotels
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Sourcing deals
Word of MouthSocial Media
Enrichment (Travel)Leads
Safety propositionLocal knowhow and contentCommunity/Group Travel
Trusted relationshipsSuccessful partnerships
Online travelersTravel Websites
MBA Students
Young and the affluentHigh disposable incomesWilling to explore
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Refunds
LeadsAdvertising
Percentage of booking costs
NUDGE Paying partner sideEnd-user side
RemoveWe
ek
5
nudge /nəj/
verb:to push slightly or gently, especially with the elbow, to get someone's attention, prod someone into action, etc.
noun:a slight or gentle push or jog, especially with the elbow.
Creating NUDGE
User dataHuman CapitalRelationship with partners
Social NetworksTravel WebsitesEvent WebsitesUniversity EventsMerchants
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Word of MouthSocial Media
Enrichment (Activities + Travel)Customer Acquisition
Trusted relationshipsSuccessful partnerships
StudentsGraduatesYoung Families
Travel Websites
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Cost per acquisition
WEEK 8 (FINAL) Paying partner sideEnd-user side
RemoveWe
ek
8
CUSTOMER ARCHETYPES
Ashley Clair Alex
Age: 26 Stanford Student Worked in Hollywood Loves Adventures Wants to be nudged
relevantly, and inspired!
Age: 28 Works at mobile start-up in
San Francisco, originally from Montana
Single & dating Plays soccer, runs
marathons Likes to cook/host dinner
with friends when possible
Age: 38 Married, 1 child (4 y.o. Clay) Investment professional in
New York Volunteer coach for son’s
hockey team Commutes for work to
Manhattan every day Goes out of town to the
country for break once/month with his family
NUDGE TYPES
social push serendipity
Nudges from friends as a social push OCCURING EVENTS
(REALITY)
EVENTS YOU ARE AWARE OF(CONSCIOUS)
DESIRE(SUBCONSCIOUS)
Discovering nudges
Highest conversion rate nudges
nudge
SIMULATED NUDGE
“ As long as there is transparency between advertisers, the suggestion database and its users, this is an innovative idea. Otherwise, it is a rather subversive tool for consumer and social trends. An interesting concept either way!
”
“ Love the product idea!
”
“ This is awesome! I love it!! Just told me to walk the dish today! phenomenal and stunning all in one shot!!
”
We did a pilot to test how many people sign up for nudge
103 people try the product
42 people left email (41% signup for service rate)
NUDGE: "it's 4 months till you graduate, take your best friend out for a coffee at Coupa, and share some of the good times you have had at GSB"
SIMULATED NUDGE
We carefully selected people we know to send them tailored nudges
We sent tailored nudge to 25 people with 40% conversion rate
10 people actually like the nudge and go
4 people may take the trip in the future
11 people didn’t response
NUDGE: "Visit the Rodin Sculpture Garden this week and get inspired. Located next to the Cantor Arts Center but accessible at all hours, the Rodin Sculpture Garden houses one of the largest collection of Rodin sculptures”
RECOMMENDING PLATFORM
Computational Matrix factorization Collaborative
filtering
Crowd-sourcedSocial nudging
Curated
Data miningSocial networks
Geography
Context-based
Customized user preference
Time
Past behaviors
Input Model
Revenue sharing (CPA)
PARTNERS
Partner
Gifts
Event + Activities
Travel
University Events
Restaurants
Facebook Ad
Facebook Fan Page
YouTube Video
Views
273,380
Unique
120,173 82
Clicks
0.030%
CTR
$0.38
CPC
83
Like
Free
CPCEngage
46
Website
Unique
430 62%
Bounce rate
2:22min
Avg time
DEMAND CREATIONW
ee
k 7
370
Days
900
89860
3
7
30
COMPETITIVE LANDSCAPE
Inspiration Planning Sharing Q&A Flash DealCommunity
Reminder
INCOME STATEMENT
Q2 2012 Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013User growth projection 2,000 20,000 50,000 500,000 1,000,000 2,000,000 4,000,000
Q2 2012 Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013Revenues Advertising N/A N/A N/A N/A N/A N/A N/A Rev. Share * $10,000 $100,000 $250,000 $2,500,000 $5,000,000 $10,000,000 $20,000,000 Total Revenue $10,000 $100,000 $250,000 $2,500,000 $5,000,000 $10,000,000 $20,000,000 Cost of Sales Customer Acquisition $60 $600 $1,500 $15,000 $30,000 $60,000 $120,000 Advertising & Promotions $1,000 $1,000 $1,000 $3,000 $3,000 $3,000 $3,000 Total Cost of Sales $1,060 $1,600 $2,500 $18,000 $33,000 $63,000 $123,000 Gross Profit $8,940 $98,400 $247,500 $2,482,000 $4,967,000 $9,937,000 $19,877,000 Expenses Development ** $645,000 $645,000 $645,000 $940,000 $1,115,000 $1,290,000 $1,465,000 Hosting $1,250 $1,250 $1,250 $1,250 $1,250 $1,250 $1,250 Other Wages *** $100,000 $100,000 $100,000 $100,000 $100,000 $100,000 $100,000 Travel $5,000 $5,000 $5,000 $10,000 $10,000 $15,000 $15,000 Office + Utilities $12,000 $12,000 $12,000 $12,000 $12,000 $12,000 $12,000 Total Expenses $763,250 $763,250 $763,250 $1,063,250 $1,238,250 $1,418,250 $1,593,250 Net Income ($754,310) ($664,850) ($515,750) $1,418,750 $3,728,750 $8,518,750 $18,283,750
California Universities
Local beta at Stanford
Go global !
Focus is key – segmentation is important
Market sizing is crucial!!!!
There is nothing more important than good team environment and culture
Mentorship is hugely important, we couldn’t have got where we are without
our Mentors help
We should be open to pivot – even at an earlier stage and trade off: The need
to be loyal to our old ideas vs. new innovations that could solve problems
based on our customer insights
Distilling insights and listening to experiments
Looking past ourselves
We have a heightened awareness of confirmation bias and try and assuage
that in our different experiments
LESSON LEARNED
WHAT’S NEXT
Incubators
CRITICAL SUCCESS MILESTONESNEXT 6 MONTHS
Initiate Cohort Analysis
Expand Beta testing to entire Stanford Campus
Test Gamification iteration and Badges
Develop machine learning and curation technology and resources to
enable scalability
Hire key resources (software developer, data scientist, marketing,
business development, social animal) and space
THANK YOU
Special thanks to the teaching team and our mentors
Steve Blank
Jon Feiber
Ann Miura-Ko
Alan Chiu – Mentor
Ethan Kurzweil – Mentor
APPENDICES
SOM = $500M
SAM = $2.5M
TAM = $3.5B
ANNUAL MARKET SIZE
= PenetrationTarget
Population×
Nudgesa week
x 50
×Conver
sion× CPA×
3/week 5% $7200 mil1
Everyone
Student + Young
20% market share
1: US population from 15 – 55 year olds
MARKET SIZING
Market understandingBest in class productRelationship with partnersHuman Capital
HotelsAirlinesEvents (Festivals)Car rentalsPromotion companiesDeal listingsState TourismTravel agentsConventions (CES)Business Schools (Study groups)
Product DevelopmentA/B testingRelationship with hotels; airlines; car rentalsSourcing dealsAcquisition, retain customers
Web and mailAdvertisingSocial MediaWord of MouthReferralsCustomer call centersMagazines
Lowest priceBest inventoryConvenientExperiential UISocial ValidationCreate a CommunityMultiple optionsBest Actionable dealsRelevant locations
Trusted relationships Successful partnershipsBrand awareness/ identificationPilotsCross pollinationEvents (Parties!)
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent origins Social media savvy
Young couples Trendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costsPercentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
WEEK 1 NewRemain
Remove
Market understandingHuman CapitalRelationship with partners
Best in class product
Social NetworksTravel PublicationsHotelsBusiness SchoolsTravel agentsAirlinesEventsDeal listings
Car rentalsPromotion companiesState TourismConventions (CES)
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partnersSourcing deals
A/B testing
Word of MouthSocial Media
Web and mailAdvertisingReferralsCustomer call centersMagazines
Easy and pleasurable trip planningBest inventory
ConvenientExperiential UILowest priceMultiple optionsBest Actionable dealsRelevant locationsCreate a CommunitySocial Validation
Trusted relationships Successful partnershipsEvents (Parties!)
Brand awareness/ identificationPilotsCross pollination
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent originsSocial media savvy
Young couplesTrendsetting behavior
Young familiesBest education for kidsCultural experience Trendy destinations
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
Percentage of hotel/package (s)Advertising revenuesEvent of the monthExclusive partnership with events
WEEK 2 NewRemain
Remove
Market understandingHuman CapitalRelationship with partners
Social NetworksHotelsBusiness SchoolsTravel agents
Travel PublicationsAirlinesEventsDeal listings
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partnersSourcing deals
Word of MouthSocial Media
Local knowhow and content
Easy and pleasurable trip planningBest inventory
Trusted relationships Successful partnerships
Events (Parties!)
Young and the affluentHigh disposable incomesWilling to explore
Young and singleDivergent originsSocial media savvy
Young couplesTrendsetting behavior
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
WEEK 3 NewRemain
Remove
Market understandingHuman CapitalRelationship with partners
Social NetworksAlumni AssociationsHotelsBusiness SchoolsTravel agents
Travel PublicationsAirlinesEventsDeal listings
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partnersSourcing deals
Word of MouthSocial Media
Safety propositionLocal knowhow and contentCommunity/Group Travel
Easy and pleasurable trip planningBest inventory
Trusted relationships Successful partnerships
MBA Students
Young and the affluentHigh disposable incomesWilling to explore
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationshipsRefunds
Percentage of booking costs
WEEK 4 NewRemain
Remove
User dataHuman CapitalRelationship with partners
Social NetworksTravel Websites
Alumni AssociationsTravel agentsBusiness SchoolsHotels
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Sourcing deals
Word of MouthSocial Media
Enrichment (Travel)Leads
Safety propositionLocal knowhow and contentCommunity/Group Travel
Trusted relationshipsSuccessful partnerships
Online travelersTravel Websites
MBA Students
Young and the affluentHigh disposable incomesWilling to explore
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Refunds
LeadsAdvertising
Percentage of booking costs
WEEK 5 Paying partner sideEnd-user side
Remove
User dataHuman CapitalRelationship with partners
Social NetworksTravel Websites
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Word of MouthSocial Media
Enrichment (Travel)Customer Acquisition
Leads
Trusted relationshipsSuccessful partnerships
Online travelersTravel Websites
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Cost per acquisition
LeadsAdvertising
WEEK 6 Paying partner sideEnd-user side
Remove
User dataHuman CapitalRelationship with partners
Social NetworksTravel WebsitesEvent WebsitesUniversity EventsMerchants
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Word of MouthSocial Media
Enrichment (Activities + Travel)Customer Acquisition
Enrichment (Travel)
Trusted relationshipsSuccessful partnerships
StudentsGraduatesYoung Families
Travel Websites
Online travelers
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Cost per acquisition
WEEK 7 Paying partner sideEnd-user side
Remove
User dataHuman CapitalRelationship with partners
Social NetworksTravel WebsitesEvent WebsitesUniversity EventsMerchants
Customer Acquisition Customer RetentionProduct DevelopmentRelationship with key partners
Word of MouthSocial Media
Enrichment (Activities + Travel)Customer Acquisition
Trusted relationshipsSuccessful partnerships
StudentsGraduatesYoung Families
Travel Websites
Human CapitalProduct DevelopmentAdvertising costsMaintaining relationships
Cost per acquisition
WEEK 8 (FINAL) Paying partner sideEnd-user side
Remove